WHERE TO BUY AND RESELL PETROLEUM PRODUCTS

The prices of petroleum products across the different states across Nigeria are getting closer, says Bureau of statistics report for December but there is still room for buying and reselling across states.

According to the price monitor for Kerosine, Diesel and Petrol for December released last week, the gap between prices in different states narrowed especially on petrol but retailers can still buy from states where price per litre is low to resell in high price states.

In December, the opportunity for making money this way was more apparent in Kerosine even though the national average price fell by 3.37% and 23.29% month on month and year on year respectively to N231.85 from November 2016's N282.86.

The states with top average price per litre of Kerosine were Abia (N281.67); Osun (N275); Ondo (M273.68) and Cross River with N266.68.

To resell for good margin in these states, wholesalers needed to buy the litre of kerosine from Sokoto (N204.17); Abuja (N206.25); and Gombe, Kogi and Benue states with N208.33 per litre each in the average.

These were the really low orice states but given proximity, States ljke Katsina (N225) Kwara (N230.95) and Niger with average N233.33 per litre offered good opportunities for resale of purchases from low price neighbouring states.

According to the NBS report, even though month on month 22.7% price increase was recorded in national average Petrol price, opportunities were less in resale across states because margin was small. National average was N146.7 per litre.

States with top averages were Kwara (N151.6); Kebbi and Bayelsa (N151,5), Taraba, Kogi, Enugu and Nasarawa states with N150 per litre average each.

The low states were Oyo (N143.9); Lagos (N144.3); Osun (N144.4), Jigawa (N144.5) and Delta with N144.6 average price per litre.

In the case of Diesel, the gap was wider and across more states but not as wide as for kerosine. National average price was N196.25, up 19.48% year on year.

Top average prices were recorded in Zamfara state (N211.43); Rivers (N210.); Kebbu (N210.42); Cross River (N209.09); Kano (N207.5) and Ondo (N206.67).

The lowest average prices per litre were recorded in Abuja, Gombe and Yobe at N180; followed by Plateau (N182.5); Taraba and Adamawa (N185), Kogi ( N186) and Niger (N190).

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